The Hazelwood mine operator Engie is playing down suggestions the Latrobe Valley brown-coal power station will be shut down.

The company's chief executive Isabelle Kocher has told a French senate committee in Paris yesterday it was considering all possible scenarios for Hazelwood, including selling up or closing it down.

In a statement, a spokesman for Engie Australia said no decision had been made about its future.

"Some have interpreted her comments as Engie saying it has decided to close Hazelwood. That is not the case," a spokesman for Engie Australia said in a statement.

"Any decisions on investment, divestment or closure are made by the Engie board, with approval by shareholders. No such decision has been made regarding Hazelwood.

"As we have communicated on many occasions, the energy industry nationally, and particularly the Hazelwood business, is facing a range of significant challenges, not the least of which are the difficult trading conditions which continue to be experienced in the National Electricity Market.

"Hazelwood is a low-cost generator of electricity, has an operating licence until 2034 and is a reliable contributor to the NEM [National Electricity Market], where it supplies between 20 and 25 per cent."

Victoria Resources Minister Wade Noonan said there were "no immediate plans for the sale or closure of the Hazelwood coal mine".

"The Government has been in contact with the mine's owner Engie about this matter and I'm advised that no decision has been made," Mr Noonan said.

"Those discussions will continue.

"As the state's new Resources Minister I look forward to meeting with the Latrobe Valley's coal generators as well as local residents to discuss these issues."

Greens call for urgent transition plan

Victorian Greens MP Ellen Sandell, the party's energy spokesperson, said closure was the only option.

"It's very unlikely that anyone will buy an old broken down power station like Hazelwood," she said.

"We know that coal is on its way out globally so the closure is inevitable which is what we've been saying for a long time.

"What this means is we urgently need leadership from the Victorian Labor Government to put in a transition plan so that the workers and the community have alternative jobs for when Hazelwood closes, which might be a lot sooner than expected.

The Nationals' Member for Morwell Russell Northe said the State Government must work to cushion the blow for the Latrobe Valley when Hazelwood does close.

"It is important from my perspective that we don't have a closure at a point in time.

"I think if there was gradual shut down of units that would be a far better proposition for any transition in the Latrobe Valley," Mr Northe said.

"A gradual closure gives the opportunity for staff, employees to better cater for that type of transition.

"We must not forget it's not just the direct employment. There are many small and medium businesses reliant on our power generators."

Environment lobby group says Australia can manage without Hazelwood

"We've effectively got more generation capacity that we need [on the east coast], even on the hottest afternoon," he said.

"We could close Hazelwood with no risk of supply in Victoria.

Mr Aberle said cutting pollution from the Latrobe Valley's power station was important.

"It's not to say we could willy-nilly start closing things down but what it does mean is we do need to seriously start planning this transition away from coal and towards renewable energy," he said.

The company is facing legal action from both Worksafe and the Environment Protection Authority over the Hazelwood mine fire in 2014.

The fire, which was in an open-cut coal mine, blanketed Morwell in thick, acrid smoke.

An inquiry into the fire made 32 recommendations including that the Victorian Government spend $27.3 million to establish a Latrobe Valley Health Zone and the bond amount paid by mining companies increase by 50 per cent of the estimated costs.

The Victorian Government has since committed to implementing all of the recommendations, and has announced a $51.2 million package in response.

The operator of the Hazelwood mine was formally known as GDF Suez and is now called Engie.